EXCLUSIVE: Wirral Council spent £16,412.04 on legal advice for Birkenhead Town Centre regeneration

EXCLUSIVE: Wirral Council spent £16,412.04 on legal advice for Birkenhead Town Centre regeneration

EXCLUSIVE: Wirral Council spent £16,412.04 on legal advice for Birkenhead Town Centre regeneration

                                                 

Indicative illustration of Neptune Development Limited's masterplan for Birkenhead Town Centre
Indicative illustration of Neptune Development Limited’s masterplan for Birkenhead Town Centre

Invoices published below for the first time today show that Wirral Council spent £16,412.04 with Weightmans on legal advice on proposals for redevelopment of Birkenhead Town Centre. Advice was given by Weightmans to Wirral Council on the preferred development agreement (later referred to as a lock out agreement) with developers Neptune Developments Limited.

Wirral Council’s Cabinet agreed last month to consult staff at Europa Pools, which might be relocated as part of the regeneration proposals.

Wirral Council invoice Weightmans £3,328.32 29th July 2013
Wirral Council invoice Weightmans £3,328.32 29th July 2013
Wirral Council invoice Weightmans £4,482 2nd April 2013
Wirral Council invoice Weightmans £4,482 2nd April 2013
Wirral Council invoice Weightmans £735.48 30th August 2013
Wirral Council invoice Weightmans £735.48 30th August 2013
Wirral Council invoice Weightmans £960 8th October 2013
Wirral Council invoice Weightmans £960 8th October 2013
Wirral Council invoice Weightmans £1929.60 28th June 2013
Wirral Council invoice Weightmans £1929.60 28th June 2013
Wirral Council invoice Weightmans £4976.64 27th March 2013
Wirral Council invoice Weightmans £4976.64 27th March 2013

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EXCLUSIVE: Councillor Phil Davies agrees to pay extra £113,189 to Hoylake Golf Resort consultants based on secret report

EXCLUSIVE: Councillor Phil Davies agrees to pay extra £113,189 to Hoylake Golf Resort consultants based on secret report

EXCLUSIVE: Councillor Phil Davies agrees to pay extra £113,189 to Hoylake Golf Resort consultants based on secret report

                     

Yesterday Councillor Phil Davies agreed that consultants on the Hoylake Golf Resort project would be paid an extra £113,189 based on a report in the name of Kevin Adderley, the Strategic Director for Regeneration and Environment. David Ball, Wirral Council’s Head of Regeneration (davidball@wirral.gov.uk/0151 691 8395) had a role in preparing the report.

The report on which Councillor Phil Davies made his decision has not been made available to the public on grounds that it has “commercial sensitive information”. However the surprising decision would seem to not to comply with The Local Authorities (Executive Arrangements) (Meetings and Access to Information) (England) Regulations 2012. The decision is a key decision however:

  • A document detailing that they wish to make a key decision was not published 28 clear days by Wirral Council before making the decision (see Regulation 9 (Publicity in connection with key decisions).
  • A notice was not published five days before the decision detailing agreement of the chair of the relevant policy and performance committee that it was an urgent decision and could not be reasonably deferred (see Regulation 10 (General Exception).
  • A notice wasn’t published claiming special urgency and detailing agreement of either the chair of the relevant policy and performance committee, Mayor or Deputy Mayor that it was urgent and couldn’t be reasonably deferred (see Regulation 11 (Cases of special urgency).
  • It’s a legal requirement that an annual report (see Regulation 19) is brought by the Leader to a meeting of all Wirral Council councillors about decisions where a case of special urgency is used since the last report. Despite this being a legal requirement since the 10th September 2012, to my recollection no such report has ever been brought to a Council meeting.

Councillor Phil Davies’s decision could still be called in by councillors as a call-in deadline of 24th April 2014 has not yet passed. The reason for the urgency was given as “to allow the OJEU Competitive Dialogue process to be finalised and a preferred developer for the Hoylake Golf Resort project to be selected and announced prior to the Open Golf Championship at Royal Liverpool in July 2014.” At least one Conservative councillor has previously asked at a public meeting about when the public will be consulted on Wirral Council’s Hoylake Golf Resort plans.

UPDATED: The extra £113,189 paid to David Langdon (AECOM) is in addition to £123,823 already agreed by Cabinet last year who also agreed to £55,000 of legal advice from Pinsent Masons LLP.
A report on Wirral Council’s website from last year details what the Hoylake Golf Resort is about.

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Secrets about Wirral Council’s Birkenhead Town Centre Regeneration revealed

Secrets revealed about Wirral Council’s Birkenhead Town Centre Regeneration plans and Neptune

Secrets revealed about Wirral Council’s Birkenhead Town Centre Regeneration plans and Neptune

                             

Indicative illustration of Neptune Development Limited’s masterplan for Birkenhead Town Centre
Indicative illustration of Neptune Development Limited’s masterplan for Birkenhead Town Centre

Earlier this year I made a Freedom of Information request for the procurement advice that Wirral Council received from Peter Oldham QC and also Weightmans’ partner Sean Crotty about the regeneration of Birkenhead Town Centre.

A Rosemary Lyon (one of Wirral Council’s in-house solicitors) refused this request on grounds of commercial confidentiality (its own and other third parties). She stated that providing the information would “adversely affect its [Wirral Council’s] bargaining position concerning potential regeneration of Birkenhead Town Centre which would result in less effective use of public money” and “make it less likely that companies or individuals would provide the Council with commercially sensitive information in the future and consequently undermine the ability of the Council to fulfil its role”. They even went so far as to claim that releasing the information “would adversely affect the course of justice”.

However, this blog post is the story behind what went on behind the scenes that Wirral Council clearly (according to the response to my Freedom of Information Act request) didn’t want to be disclosed to the public or written about in the media for reasons I will go into below.

On the 16th July 2013, the Leader of Wirral Council Cllr Phil Davies (under delegated decision making powers meaning that he made the decision on his own) gave his agreement to a “preferred development agreement” with Neptune Developments Limited to “allow them to work up a comprehensive redevelopment proposal for Birkenhead Town Centre incorporating Council owned land on Europa Boulevard and involving the re-modelling and offer of Birkenhead Market”.

In the report seen by Cllr Phil Davies before reaching his decision reference was made to “a commitment to develop a clear master plan for Birkenhead Town Centre” in the 2013/16 Corporate Plan. Reference was also made to the previous offer to Wirral Council in 2010 by William Tar Developments to build a casino on two out of three plots of land owned by the Council on Europa Boulevard. That offer was rejected in September 2010.

However what’s not been known widely by the public until now is that “At the same time and in response to the marketing exercise Neptune Developments Limited (NDL) submitted a proposal requesting that the Council move away from disposing of the sites separately and instead work with them to develop a wider regeneration scheme for Birkenhead. NDL had already secured an interest on a vacant site on Conway Street and they suggested that this coupled with Council owned land on Europa Boulevard could be combined to allow a more comprehensive redevelopment scheme to be worked up and in turn would give a far greater regeneration impact than if the sites were developed separately” and that “negotiations have been continuing with NDL since the completion of the marketing exercise”.

Detailed below is Neptune’s proposal,

“Neptune proposes that the project is taken forward on the basis of a two stage agreement. The first, which is the subject of this Report, will involve granting NDL Preferred Developer Status which will be extendible to a period of 12 months and will be subject to NDL meeting the following performance targets:


  • Work up the Master-plan into a detailed implementation strategy for approval by the Council
  • Working with the Council, NDL will develop proposals which will reposition the town as a retail and leisure destination
  • NDL will negotiate further site acquisitions if necessary to deliver the agreed strategy.”

Subject to securing Members (Ed – Members means councillors) approval to the Strategy and Master-plan NDL would then be required to enter into a second Conditional Development Agreement which would commit them, at their own risk, to work up the proposals into a position were they could be implemented and to deliver the returns that are needed to secure the wider regeneration of this part of the Town.

It is proposed that the Conditional Development Agreement with NDL will be structured to ensure the Council receives the best value obtainable for the 3 sites on Europa Boulevard which will be determined by an independent valuation and all works will be undertaken on an open book basis with NDL working on a fixed developer return on cost which varies depending on the nature of the risk.”

In a section titled “Other options considered” it’s basically stated that no other options were considered because NDL has an interest in the land needed to build Birkenhead Market on once its moved.

“An initial assessment of the NDL proposals confirms that if delivered the scheme will have the potential to revitalise an important part of Birkenhead Town centre delivering a far greater regeneration impact than if the sites identified in this report were developed out separately. No other options have therefore been considered as NDL has already secured an interest in the balance of the land that is needed to deliver the re-provided market.”

The section on consultation states this “There will be a need to carry out extensive consultation on the scheme prior and during the detailed planning process. This will be carried out jointly between the Council and NDL.”

The section on legal implications refers to the advice that my Freedom of Information request in September was about (and refused). Once again Members means councillors.

7.1 In the event that Members want to pursue this proposal and to ensure that it is compliant with current EU procurement law, Officers have sought advice from Weightmans LLP and Counsel about its legality.

7.2 The advice has now been received and it concludes that the Council would at this stage be able to enter into a Stage 1 Preferred Development Agreement on the proviso that a final test of lawfulness is carried out when the Stage 1 work has been completed and the detailed arrangements can be assessed.

7.3 NDL is aware of this advice and would be prepared to complete the first stage obligations at risk to allow the final lawfulness test to be undertaken when the scheme has been fully worked up.”

In other words Wirral Council’s happy to pass on the advice it received (at a cost of £7,404 of taxpayer’s money) to Neptune Development Limited to help them in a commercial venture as it may result in Wirral Council receiving money in the future for land in Birkenhead that it doesn’t want.

According to this article in the Wirral Globe in July 2013 Wirral Council wants to rebuild Birkenhead Market and move it.

Neptune Development Limited clearly as they have “already secured an interest on a vacant site on Conway Street” have a commercial interest in any master plan proposals and would be able to “negotiate further site acquisitions” in advance of the master plan becoming public knowledge.

Doesn’t this all sum up how Wirral Council tries to operate though and considering the public interest in the regeneration of Birkenhead Town Centre being done in accordance with EU procurement law do you dear reader think I should make a further Freedom of Information request to Wirral Council for the advice they received from Peter Oldham QC and Sean Crotty of Weightmans in relation to this matter in the hope that they would provide it this time?

P.S. If anyone would like to have a stab at translating ”all works will be undertaken on an open book basis with NDL working on a fixed developer return on cost which varies depending on the nature of the risk” into plain English that can be understood by the average person please leave a comment!

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Incredible £7404 spent by Wirral Council on legal advice for Birkenhead Town Centre regeneration

Incredible £7404 spent by Wirral Council on legal advice for Birkenhead Town Centre regeneration

Incredible £7404 spent by Wirral Council on legal advice for Birkenhead Town Centre regeneration

                                                               

Earlier this year Wirral Council paid £6,000 to Weightmans for “professional charges in relation to the potential regeneration of Birkenhead Town Centre to include all time up to and including 17 December 2012” and £1,404 for procurement advice from Peter Oldham QC. You can see the invoices by clicking on these links and there’s a Wirral Globe article from July about Neptune being asked to come up with a master plan for the area.

Wirral Council have a Corporate Procurement Unit so why didn’t they ask them for advice instead? They even have sixteen in-house solicitors they could have asked. I wonder if they thought that asking a Weightman’s partner and a QC meant that if someone made a FOI request for the advice, Wirral Council can (rightly or wrongly) claim a section 42 exemption (legal professional privilege). However as this advice isn’t in relation to any legal proceedings, section 42 doesn’t apply. Therefore I’ve made a FOI request for the advice provided on the whatdotheyknow website.

Update: 26th September 2013: Wirral Council have switched it from a Freedom of Information Act request to one dealt with under the Environmental Information Regulations 2004 and refused it under regulation 12 (5)(e) “commercial confidentiality” and 12 (5)(b) “legal advice privilege/legal professional privilege”.

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Economy and Regeneration Overview and Scrutiny Committee (Wirral Council) 16th January 2012 Presentation by CETCO

Economy and Regeneration Overview and Scrutiny Committee (Wirral Council) 16th January 2012: presentation by CETCO

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Last night’s Economy and Regeneration Overview and Scrutiny Committee started a few minutes later than planned and the first part of the meeting (about half an hour) is above which can be viewed in High Definition (if your internet connection is fast enough for HD video). The meeting itself starts at 2m30s in.

Most of the first half hour is a presentation by CETCO who manufacture waterproof linings used in the construction industry.

The representative from CETCO told those present about what CETCO did and how its American parent company had originally wanted to close CETCO’s operation on the Wirral which would have led to a loss of about fifty jobs. However thanks to help (and some investment in automation) from Wirral Council they were able to convince the parent company to keep CETCO on the Wirral and there were only a handful of job losses.